NEW YORK--(BUSINESS WIRE)--LaPhair Capital Partners, a minority-led, influencer-backed and performance driven venture capital fund, today announced the launch of their flagship Alpha Fund I, with a target size of $100 million. Alpha Fund I will invest in companies focused on social responsibility in underserved communities within high growth markets. The new fund’s deployment will focus on innovative early-stage, Series A/B and growth-stage companies, enabling them to emerge into market leaders. It seeks a minimum of 35 percent in annualized returns for the fund with horizontal and/or vertical leverage opportunities.
Alpha Fund I aims to help close the gap of systemic disparities by backing world-class ideas, unlocking enormous economic growth opportunities. According to a McKinsey & Company report, additional consumption opportunities from closing systemic Black inequalities in terms of jobs, wages, housing and investments is a $1-1.5 trillion opportunity within the US alone.i With a vision to transform groundbreaking ideas into successful businesses, LaPhair Capital Partners hopes to create a ripple effect across the world of venture capital.
“There are no limits on return when you invest in people,” said Adrian Muhammad, Managing Partner at LaPhair Capital Partners. “We are fortunate to work with outstanding individuals who understand value and social responsibility are not mutually exclusive.”
One of the target investments for Alpha Fund I is Kinexx Modular Construction. Kinexx builds homes in less than ten days with a unique construction process targeted to address urban infill for those previously unable to afford a home. It aims to help solve for the estimated 7.3 million home shortage in the US.ii An initial investment round was led by LaPhair in 2021. Investors include current and former professional athletes across the NFL, MLB and NBA. Influencer participation by those dedicated to social responsibility and advancing community building is unique to the LaPhair model.
"Investing with purpose transforms capital into catalysts for positive change,” said Alec Ogletree, former NFL linebacker and General Partner of Alpha Fund I. “For me, this isn’t just a financial choice; it's a commitment to shaping a world where returns aren't just measured in dollars, but in the positive impact we leave on communities and the planet."
The Alpha Fund I will further accelerate the growth of the venture capital ecosystem to meet the increasing demand for products and services from high-growth, underleveraged companies that service under-invested consumers in minority markets.
About LaPhair Capital Partners
LaPhair Capital Partners is an influencer-backed, minority-led early-stage investment firm. We support passionate leaders, innovative solutions and seek to advantage shifts in cultural trends for return value for our partners, portfolio and service communities. For more information, please visit https://laphaircapital.com/.
i McKinsey & Company. Public Sector Practice: The economic impact of closing the racial wealth gap. August 2019.
ii National Low Income Housing Coalition: https://nlihc.org/gap